It frees CEO to handle corporate strategy issues
Takes advantages of economies of local opertions
Improves functional coordination within target market
Puts clear profit/loss accountability on shoulders of business-unit managers
Weaknesses
There exist an ambiguity between what decisions to centralize and what decisions to decentralize
It may leads to costly duplication of staff functions at corporate and business-unit levels,thus raising administrative overhead costs
OPPORTUNITIES
Service delivery on-site
Minimum efficient scale in functions or outsourcing
Geographical market segments needed
Low value-to-transport cost ratio
THREATS
Can results in duplication of staff services at headquarters and district levels,creating cost disadvantages
Adds another layer of management to run geographical units
Greater difficulty in maintaining consistent company image/reputation from area when area manger exercise strategic freedom.
ACQUISITION AND DIVERSIFICATION
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In addition to the production and sales of several worldwide Pepsi-Cola, Quaker Foods, and Frito-Lay beverage and food product lines (including Pepsi and Doritos), this segment of PepsiCo's business markets regional brands such as Mirinda, Kurkure, and Red Rock Deli, among others.
COMPETITION
PepsiCo’s major competitor were Coca-Cola Company so they are considered to be primary competitors in the beverage market,and in the year 2005,for the first time PepsiCo has surpassed the Coco-Cola Company in the market value ,since both companies began to compete in 2009.Due to the acquisition,merger and partnerships pursuded by PepsiCo its business has shifted to include a broader product base,includingfoods,snacks,and beverages.
Kraft Foods are one of the primary cpmpetitors in the snack food market.Other competitors for Soda are
RC COLA
COLA TURKA
KOLA